Rather than waiting for years to get regulations from the government, why can’t the crypto industry regulate itself?
Commissioner of the United States Commodity Futures Trading Commission, Quintenz Brian, during a blockchain summit, suggested that the crypto industry should be self-regulated. In his statement during a keynote address, he said:
“I believe that the gap between future government regulations and status quo will be bridged if a private body is set aside to regulate cryptocurrency.
He suggested that a self-regulatory body would impact the cryptocurrency industry beyond the United States market and set the pace for making a global difference.
In an interview with news agencies, Quintenz said, I believe everyone is trying to understand how their laws apply to this space. So, there will be a potential for the application of a global framework if the community takes advantage of the ambiguity and time”.
The industry is faced with many jurisdictional issues regarding tokens and cryptocurrencies. The CFTC hasn’t taken a solid stance on asset classification. Although he believed that the CFTC would not be directly involved in creating a self-regulatory body for the cryptocurrency industry, it may guide the process by giving suggestions based on already developed policies.
He said that the agency would not be directly involved in setting policies through action enforcement. He believed that such involvement will not be authentic and will cost the CFTC its credibility. However, the CFTC will work hand in hand with SEC to solve problems of the jurisdiction of certain products.
He made it clear that it was the responsibility of the SEC to ensure that the laws of the IPO are obeyed by every party involved. He mentioned that it isn’t a surprise that some people intend to bypass the law and the SEC is still having discussions about what to do about the situation.